NatRoad says Budget action needed as 40% of truckies turn down work due to fuel costs

The National Road Transport Association (NatRoad) is calling on the Federal Government to keep the Road User Charge (RUC) for heavy vehicles at zero until the end of 2026, warning ongoing high fuel costs will continue to drive price pressure across the economy.

Diesel prices are still sitting well above pre-crisis levels with uncertainty and elevated prices expected to remain for the rest of the year. NatRoad says adding the RUC onto the already-high cost of diesel at the end of June would only place further strain on road transport operators.

Recent NatRoad member feedback shows around 40% of operators have already turned down or cancelled work due to rising fuel costs, with implications not only for business viability, but also for the availability and cost of goods.

NatRoad CEO Warren Clark said while there has been some recent easing in fuel prices, underlying pressures remain.

“Diesel prices are still well above where they were prior to the current global disruptions, and all indications are they will remain elevated for some time,” he said. “Truck operators are still facing sustained cost pressures. Those costs don’t stay within the industry – they flow through to every Australian household.”

“Anyone who has driven past a petrol station recently will have seen the high price of diesel. Soon, If the road user charge is reintroduced at start of July, the price will increase by another 32.4 cents per litre.”

Mr Clark said maintaining the RUC at its current zero rate would provide immediate relief and much-needed certainty ahead of the Federal Budget on 12 May.

“Making this decision ahead of the Budget will give operators clarity, and allow both industry and government to plan with confidence,” he said.

NatRoad acknowledged the significant fiscal pressures facing the Federal Government but said targeted, temporary support remains necessary.

“We recognise the Government is under budget pressure, but this is a practical, time-limited measure to support an essential industry at a critical time,” Mr Clark said. He noted road freight operators have limited ability to absorb or reduce rising fuel costs without broader economic consequences.

“Truck operators can’t simply cut back on fuel use without impacting the movement of goods across the country,” he said. “If trucks don’t move, shelves don’t get stocked and businesses don’t operate. The impact is felt right across the economy.”

NatRoad said maintaining the current RUC settings would help stabilise the industry while global conditions remain uncertain and fuel markets continue to fluctuate.

Media Contacts